MALACAÑAN PALACE
MANILA
BY THE PRESIDENT OF THE PHILIPPINES
[ Memorandum Order No. 206, November 17, 1970 ]
CREATING A DEVELOPMENT INSTRUMENTS TASK FORCE HEADED BY THE SECRETARY OF FINANCE
As an instrument of national development, our present system of public finance has several fundamental shortcomings. The various sources of funds are unevenly utilized so that the revenue potential of some sectors is hardly tapped, while other sectors bear a disproportionate burden. The distribution of the proceeds is sometimes inequitable, with respect both to economic classes and to regions. The management of funds is made more difficult by institutional, constraints, with some special funds holding large unspendable balances, while the general fund is perennially short of cash.
Solving these problems requires fundamental wide—ranging legislative changes, which are normally almost impossible to obtain. The approach of our economic planners in the past has been to work for legislation which is smaller in scope and politically feasible.
At the present time, however, there is keen interest in all branches of government as well as among the general public in formulating new national goals and evaluating the fitness of existing institutions to serve these goals, and proposals for fundamental institutional change are therefore assured of an especially sympathetic reception.
To take advantage of this excellent opportunity, there is hereby created a Development Instruments Task Force to the headed by the Secretary of Finance. The basic mission of this Task Force shall be to undertake a fundamental re-examination of the public finance system and recommend measures by which the system can promote our national development goals with the maximum efficiency and equity.
Therecommendations of this Task Force may take the form of proposed, legislation, and shall cover at least idle following areas:
1. Requirements for and purposes of tax legislation;
2. Consistency of tax legislation with national development goals;
3. Equitable distribution of both the burdens and benefits of taxes; and
4. Efficient management of the national budget.
These recommendation shall be submitted to the President for his approval, and upon approval shall be transmitted to Congress.
The members of this Task Force shall include the heads of the following government entities or such representatives as they may appoint: Department of Finance, Joint Legislative-Executive Tax Commission, National Economic Council, Presidential Economic Staff, Congressional Economic Planning Office, and the technical staffs of the Ways and Means Committee of the Senate and the House of Representatives.1aшphi1
The Secretary of Finance may also appoint other members at his discretion.
By authority of the President:
(Sgd.) ALEJANDRO MELCHOR
Executive Secretary
Manila, November 17, 1970
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